Halloysite market size worth $50Mil by 2025!!!, page-42

Heya!

"I'm actually looking to increase my position in MEP given the market capitilization of ADN." Good move if there are no CGT implications. It might still be a good move even if there is.

One thing that strikes me is JMs comment about the porcelain industry being a thousand years old. That is a long time for the world's halloysite resouces to be depleted. Talking to JM the other day in Brisbane he said another small Chinese producer - 50,000tpa - had shut down last month.

It's hard to know the size of the market if there is no supply. I guess you have to look at historical data to estimate demand. No doubt ADN has that info. I think that is playing into the question of whether to go straight to a 500ktpa wet-process plant or have two 250ktpa modules.

I think it is best to wait for things to unfold. The BFS (as opposed to the DFS) is due in Oct. I assume the bankers want to see a lot more BOAs than for just 5ktpa so we should expect to see a steady flow of mews on that front.

Another thing I took from the meeting was that ADN management is still trying to decide the final product mix for the DFS. Until we see that we have no idea about any DSO component, CAPEX, OPEX, total volumes, NPV etc. Three months seems forever but it will come around soon enough.

Clearly there have been major delays on the concrete front. There's one minor glitch - operator error - that I am aware of. It's hard to gauge the timetable for PFSs for concrete & coatings/polymers/inks. It wasn't clear if the two PFSs could be done post-DFS i.e. in tandem with the BFS. Will they both be at GW or will one be for Mt Hope? I assume any project at Mt Hope has a longer development timetable.

My $64m question is: Does ADN bid for MEP pre- or post-DFS!